Not sure about this ?

[Cripes]

Hi, New here we haven't file yet. Just tossing it around it's pretty scary.
But I think I might have found a problem. We had are cars repo'ed about 6 months ago. My mother gave us the money to get them back. But she took 1 for her coupe for her money. Now we never signed it over to her. But she can show a large withdraw at the exact time all this happened. Are we going to be flaged if we sign it over to her now? Even with the the bank statements?

Thanks for your help....

[SinkingFast]

It could cause some problems if you sign over the car and then file.

The look back period on property transfers to outsiders is generally a year. With Insiders, which Mom is,.......... It's 2 years. And the BK Court can go back as much as 10 years. But they hardly ever do. Only on rare occassions.

Insiders are family, friends, and close personal business associates. That's one way people hide assets. Transfers to an Insider. So the BK Court really keys on those.

The Trustee has the power to go back, undo the Transfer, and seize the car from Mom to sell "for the benefit of your Creditors".

You're probably best off to leave things as they are. Claim the car. Hopefully you can Exempt it. Get thru your BK. And then Transfer the car to Mom later.

Also, because Mom loaned you a significant amount of money,........ Especially if the transaction took place recently,......... You will probably need to list her as a Creditor in your BK. Even tho you legally Discharge the debt, there's no law that says you cannot voluntarily repay any Creditor after you're done with BK.

[Cripes]

Thanks so much for your quick answer. I don't think that she would be able to keep it then. With a $7 figure Blue Book value and 2,000 car allowance between both of us. Guess I need to call mom to let her know. And see how I can fix this with her.

How much are they willing to work with you? Our other car Kellyed at 2,800. Will they take it for the 800.00 dollors over?
And leave us with nothing? We live way out in the country w/ kids?

Our house is also over the limit by about 2,000...We only have 10,000 to claim between us both...

Just trying to get some idea of how it will kind'a work. As far as it being so close to the limit's? They can have everything else they want. I just want 1 car and to keep my home.

Thanks again......

[lrprn]

Cripes, what state are you in? We can help you sort out what your state's bankruptcy exemptions can protect if we know that.

How much are they willing to work with you?

Unfortunately the current law doesn't build in any wiggle room for "working with you" in bankruptcy. The trustees go by what the bk law allows and recent bk case decisions, not your personal circumstances. A top-notch bankruptcy laywer can help you find what little wiggle room there is though.

I just want 1 car and to keep my home.

Depending on your specific financial circumstances, chances are you can if you are up to date on the payments when you file.

Again, if we knew which state you were in and a little more about your finances, we can help you sort out what's possible. Have you met with any bankruptcy lawyers in your area yet?

[Cripes]

Let's see I'm in Ohio....

CC... ect totals around 92,000
Morgage 89,700 house value 111,700 or so...current on payments
Truck like I said...7,200 worth Kelly's Blue Book paid thanks to mom
Jeep...2,800 worth Kelly Blue Book also paid
Car insurance current
Income...46,000
One daughter living at home
electric current because of selling things off around the house
phone current so I can sell thing around the house
running out of items in the home to sell
Cars X2 repo'ed and bought back...

We have not talked to anyone yet...But Need to start within the week.


We have owed this for 4 years...I lost my job to my health & lot's of early death in our family & loss of a baby...I shut down...We lived on cards...rob everything to pay Paul...Husband was a young disabled Vet...Less hours due to this now....Husband is now being garnished now it's over... We will lose the house if we wait...And just recieved another cert for another garnish... We have basic's in our home...We don't eat out..Or go any where anymore... We are home...The cost of gas is killing us..

Any advice would be so helpful...I've never looked into BK and have been craming in the last few day's.

Thanks

[lrprn]

I'm in Ohio....

Thanks for sharing more information. Let's see....assuming you plan to file with your husband....

Income is $46,000. Does this amount include Social Security-based or disability benefits for your husband? And does it include your daughter's income?

Ohio current median income for a family of three is $58,130 - http://www.usdoj.gov/ust/eo/bapcpa/2...come_table.htm . If the $46K income includes your daughter's income, then your family is well below that so likely qualify for Chapter 7 bankruptcy.

Here's a link to Ohio's bankruptcy exemptions - http://www.bankruptcyinformation.com/OH_exemp.htm

Morgage 89,700 house value 111,700 or so...current on payments

In Ohio you can only protect $5000 equity in your home. Double-check on your house's value because the housing market is dismal and getting worse daily.

Truck like I said...7,200 worth Kelly's Blue Book paid thanks to mom // Jeep...2,800 worth Kelly Blue Book also paid
Car insurance current

This is going to be a big problem for you. Ohio exemptions only protect $1000 of vehicle equity plus $400 wild card. There's no indication whether these can be doubled if you file together.

Regardless, even doubled you can't protect even one car since your mom paid them off in full. How I wish you would have considered bankruptcy before you lost your cars to repossession....can't help that now though. It's going to be very difficult to keep even one car unless you agree to pay the trustee the difference between your cars' worth and Ohio's exemptions.

We have not talked to anyone yet...But Need to start within the week.

Yes, make appointments for free or low-cost initial appointments with 3-4 bankruptcy lawyers in your area. Lay out everything you've told us here and find out what your options are.

Filing bankruptcy will wipe out the $92,000 of non-secured debt and stop the garnishments as well. Hopefully that will allow enough breathing room to get your family back on its feet financially.

Keep posting questions - we'll help you sort things out as best we can. Let us know how your lawyer consultations go, ok?

[FreshLikeADaisy]

Hey, I'm not an attorney so check this out before you do it, but it seems to me that you would want to list your mother as a creditor with a secured claim. In other words, she lent you the money but with the car as collateral: the loan is secured by the car. If an attorney tells you that you can do that, you may be able to reaffirm the debt, repay your mom, and save the car. You'll definitely need a lawyer's help, though.

Just an idea. Good luck to you!